State Regulators Encourage Early Licensing Renewals for Non-Depositories

Nov 1, 2017

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Washington, D.C. – The Conference of State Bank Supervisors (CSBS) announced effective today, non-depository financial institutions that wish to continue operating in 2018 can begin renewing their state licenses now through December 31. Licensing renewals can be completed through the Nationwide Multistate Licensing System (NMLS), which CSBS operates on behalf of state regulators.

Through direct outreach, CSBS is notifying roughly 600,000 individuals who are licensed to conduct business in one or more states. These individuals provide mortgage, money transmission, and consumer financial services to consumers and small business, and hold annual licenses that must be renewed by the end of each calendar year.

“Submitting renewal requests in November as opposed to December significantly reduces the chance of a license being terminated on January 1, 2018,” said Kelly O’Sullivan, chair of the NMLS Policy Committee and deputy commissioner of the Montana Division of Banking and Financial Institutions.

“In 2016, almost 93 percent of all renewal applications submitted by November 30 were approved by December 31,” added O’Sullivan. “Only about 49 percent of license renewals requested after December 15 were approved by the end of the year.”

Licensed individuals can renew their license through the NMLS and visiting the Annual Renewal Information page of the NMLS Resource Center. Those that do not renew on time run the risk of losing their ability to conduct business in 2018.

The Conference of State Bank Supervisors (CSBS) is the national organization of bank regulators from all 50 states, American Samoa, District of Columbia, Guam, Puerto Rico and U.S. Virgin Islands. State regulators supervise roughly three-quarters of all U.S. banks and a variety of non-depository financial services. CSBS, on behalf of state regulators, also operates the Nationwide Multistate Licensing System to license and register non-depository financial service providers in the mortgage, money services businesses, consumer finance and debt industries.